New car prices down since a year ago

New car transaction prices dropped an average of $159, or 0.5 percent last month compared to a year ago, according to Kelley Blue Book. The estimated average transaction price was $32,890.

Rising prices can indicate larger profits and a stronger industry. While prices fell since a year ago, they have gradually risen in recent months, with a 0.6 percent increase from November to December.

Honda's prices were up 2.5 percent since a year ago, a "respectable" showing, said Alec Gutierrez, a Kelley Blue Book Analyst.

The only major automaker with a larger year-over-year increase than Honda was Volkswagen with 4.1 percent. Chrysler was third with 2.4 percent.

Ford and Nissan both had a decrease in transaction prices, with -2.5 percent and -1.2 percent, respectively.

New car transaction prices dropped an average of $159, or 0.5 percent last month compared to a year ago, according to Kelley Blue Book. The estimated average transaction price was $32,890.

Rising prices can indicate larger profits and a stronger industry. While prices fell since a year ago, they have gradually risen in recent months, with a 0.6 percent increase from November to December.

Honda's prices were up 2.5 percent since a year ago, a “respectable” showing, said Alec Gutierrez, a Kelley Blue Book Analyst.

The only major automaker with a larger year-over-year increase than Honda was Volkswagen with 4.1 percent. Chrysler was third with 2.4 percent.

Ford and Nissan both had a decrease in transaction prices, with -2.5 percent and -1.2 percent, respectively.